Daily Chart Report 📈 Thursday, May 2, 2024
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Today’s Summary
Thursday, May 2, 2024
Indices: Russell 2000 +1.81% | Nasdaq +1.29% | S&P 500 +0.91% | Dow +0.85%
Sectors: 9 of the 11 sectors closed higher. Technology led, gaining +1.44%. Materials lagged, falling -0.52%.
Commodities: Crude Oil futures were flat at $78.95 per barrel. Gold futures were also flat at $2,310 per oz.
Currencies: The US Dollar Index dropped -0.27% to $105.34.
Crypto: Bitcoin rose +1.45% to $59,099. Ethereum fell +0.55% to $2,986.
Volatility: The Volatility Index dropped -4.62% to 14.67.
Interest Rates: The US 10-year Treasury yield dropped to 4.583%.
Here are the best charts, articles, and ideas shared on the web today!
Chart of the Day
$EEM: Two year high. Let’s go! pic.twitter.com/OSfcEBsAvF
— Urban Carmel (@ukarlewitz) May 2, 2024
Today’s Chart of the Day was shared by Urban Carmel (@ukarlewitz).
- The Emerging Markets ETF ($EEM) rose +2.58% today, marking its best day in five months. It also made a new 52-week high for the first time since the peak three years ago.
- Urban points out that $EEM broke out to a two-year high today (including dividends). It hasn’t broken out if you adjust for dividends, but it’s very close. $42 has been a major resistance level over the past two years. Clearing this hurdle would be a big improvement for $EEM.
- China has recently been driving $EEM higher after three years of weighing it down. If China continues to stabilize, $EEM could start participating.
The takeaway: Emerging Markets ($EEM) joined the new 52-week high club today after being absent for three years. China could go from being a headwind to a tailwind for $EEM. Ending the week above $42 would be a big improvement.
Quote of the Day
“Earnings don’t move the overall market; it’s the Federal Reserve Board… focus on the central banks, and focus on the movement of liquidity… most people in the market are looking for earnings and conventional measures. It’s liquidity that moves markets.”
– Stan Druckenmiller
Top Links
China Climbs Out of a Bottom – LPL Financial Research
Adam Turnquist looks at the recent rebound in China.
S&P 500 Election Year 2024 vs. 1968 & 2012 – Almanac Trader
Jeff Hirsch compares 2024 with two other election years, 1968 and 2012.
How to Find the Trade – All Star Charts
JC Parets shares his thoughts on the current market environment.
An AAPL a Day – Trading Adventures
Andy Moss highlights some key takeaways from this week so far.
Top Tweets
$SPY $SPX $ES_F So close to a MACD upside cross.
With $AAPL earnings reaction, that could be the catalyst for liftoff. pic.twitter.com/j8WvzsWvbm
— Jake Wujastyk (@Jake__Wujastyk) May 2, 2024
A rally in the S&P 500 (SPY) has a good chance of breaking the downtrend in both price and MACD. If yields fall, Apple (AAPL) holds onto its after-hours gains, Semi’s (SMH) are strong, IWM and Transports participate in the rally on good market breadth, the shorts will cover,… pic.twitter.com/k2FaKimlgF
— Bonnie Gortler (@Optiongirl) May 2, 2024
What message is the equity market sending about the consumer?
This equal weight Discretionary vs. Staples ratio was a good signal about the direction Household Consumption forecasts back in 2022 (to the downside) and 2023 (to the upside).
The recent weakness in this ratio is
pic.twitter.com/Uh30n8BpNY
— Cameron Dawson (@CameronDawson) May 2, 2024
Who’s leading whom?$XLU, $TLT pic.twitter.com/lle7ODEZEA
— Frank Cappelleri (@FrankCappelleri) May 3, 2024
Since 1940, after the occurrence of 2 consecutive S&P500 quarters of >+10%, the average forward 60 month total return has been +92%. Even if the forward 60 months (starting April 1) produce “only” a +60% return, that would be SPX @ 8300+ by Mar 31 2029 pic.twitter.com/owuprLYJdo
— Mark Map (@MarkMap4) May 2, 2024
Big Weights = Big Index Influence
NVDA alone has contributed over 40% of YTD gains, the highest of any single stock during a year when the S&P 500 posted positive performance. Said in sports terms, the best players tend to score the most points (like Caitlin Clark and Iowa). pic.twitter.com/LGVIYPipN8
— Todd Sohn (@Todd_Sohn) May 2, 2024
Emerging Markets are up 8 of the last 9 days. And like nobody is talking about it. pic.twitter.com/1JYrs4hXMN
— Mike Zaccardi, CFA, CMT
(@MikeZaccardi) May 2, 2024
Chinese Stocks rally for an 8th consecutive trading day, their longest winning streak since January 2018 pic.twitter.com/UhF4gxcYAh
— Barchart (@Barchart) May 2, 2024
China on the move…
“a bull market journey starts with a breakout step…” pic.twitter.com/wZXcV0Vi0h— conradseric, CMT, CAIA, CEFA (@conradseric) May 2, 2024
big test for $KWEB will be 32. pic.twitter.com/RsenaIo7dU
— Jamie Saettele, CMT (@JamieSaettele) May 2, 2024
are these the most important consolidations in the world right now? If so, does that mean that the resolutions out of these consolidations will be the most important resolutions in the world? pic.twitter.com/DS9ZLHwrpw
— J.C. Parets (@allstarcharts) May 2, 2024
A long-term outlook for the US 30-Year Treasury Yield $TYX
Where are rates heading? pic.twitter.com/BwcKGNvbSE
— Alfonso Depablos, CMT (@AlfCharts) May 2, 2024
many such cases pic.twitter.com/gkHIwybZ8C
— Lawrence Hamtil (@lhamtil) May 2, 2024
You’re all caught up now. Thanks for reading!
The post Daily Chart Report 📈 Thursday, May 2, 2024 appeared first on The Chart Report.
